Leasing is a lot like renting a car. In essence, you pay money over a specified period of time for the privilege of driving a particular vehicle. Or, looking at it another way, leasing is similar to obtaining a loan to buy a car, with a balloon payment at the end of the lease term. With most lease agreements... you don't own the vehicle when the lease is complete and you're required to return the car to the leasing company at the end of the term. Conversely, when you finance a car with the intent of purchasing it, you become the official owner of the vehicle when the loan is paid in full.